There are mainly four types of account
- Current deposit
- Fixed deposit
- Savings deposit
- Recurring deposit
Current deposit account
- It suits the requirement of sole proprietorship firms, public corporations, partnership firms, Joint stock companies, Joint Hindu families, trusts, clubs, associates etc
- A current account is an account which is generally opened by business people for their convenience.
- Money can be deposited and withdrawn at any time.
- Money can be withdrawn only by means of cheques.
- Usually a banker does not allow any interest on this account. Even then, people come forward to deposit money on current account because of two important privileges which they can enjoy in a current account, namely :
- Overdraft facility
- Other facilities like collection of cheques transfer of money and rendering agency and general utility services.
- That is why current account holder does not mind a banker charging some commission for services rendered and incidental charges for maintaining the account – whether it is in debit or in credit.
Fixed deposit account
Savings deposit account